Exhibit 10.3.1
AMENDMENT NO. 1 TO LEASE AGREEMENT
This Amendment No. 1 dated as of April 21, 1998, is made by and between
FIRST & LENORA, LLC a Washington Limited Liability Company ("Landlord") and THE
COBALT GROUP, INC., a Washington Corporation ("Tenant").
RECITALS
A. David A. Edelstein and Nancy Jo Edelstein (then Landlord) and Tenant
executed a certain Lease, dated 14th day of September, 1996, for the
lease of certain office space in the building commonly known as the
First & Lenora Building.
B. The Office Lease Agreement is referred to herein as "Lease".
C. Landlord is the successor in interest to David A. Edelstein and Nancy
Jo Edelstein.
D. The space added to the current rentable area of the Premises as a
result of this amendment shall be referred to as the "Expansion
Space".
AGREEMENT
It is therefore agreed as follows:
1. SECTION 1.1 PREMISES is amended to increase the current net rentable
area of 11,536 leased by Tenant to include the 6,731 rsf northwestern
bay and the 3,325 rsf southwestern bay of the ground floor, increasing
the Premises by 10,056 rsf. Within the 6,731 rsf northwestern bay
1,261 square feet is mezzanine and within the 3,325 rsf southwestern
bay 553 square feet is mezzanine.
The adjusted rentable square footage for the entire Premises as of this
amendment shall be 21,592 rentable square feet.
2. SECTION 2.2 TERM: The lease term for the expanded premises shall begin
May 1, 1998 and expire coterminous with the initial lease expiration
date of October 31, 2000.
3. SECTION 2.1 --MINIMUM RENT FOR THE PREMISES
SPACE SQUARE FOOTAGE PER RSF COST PER ANNUM MONTHLY RENTAL AMOUNT
Floor 1 10,056 rsf $19.50 $16,341.00
Floor 3 11,536 rsf $14.00 $13,458.67
The total adjusted Minimum Rent for the entire Premises is $29,799.67
per month plus any past or future adjustments due to an increase in
operating costs passed through to Tenant as part of the Lease. The
Minimum Rent for the entire Premises is calculated as a fully serviced
lease pursuant to the terms of the Lease. Tenant shall be responsible
for payment of its own separately metered electrical service for the
ground floor spaces.
4. TENANT IMPROVEMENTS
Tenant shall occupy the Premises on an "as is" basis with the exception of
the demolition of the existing partition walls currently within the
northwestern bay of the first floor expansion space. Demolition work shall
be paid for by the Landlord. Any additional improvements to the Premises
shall be at the cost of Tenant.
5. RELOCATION OF EXPANDED PREMISES
In the event Landlord can make available to Tenant an office space on
the second floor of the building comparable in size to that leased by
Tenant on the ground floor, then Landlord shall have the right to relocate
Tenant provided the following conditions are met: 1.) Landlord provides
Tenant with $7.00 per rsf in tenant improvement dollars to refurbish the
new premises. 2.) Landlord provides Tenant with a one-month rental
abatement. 3.) Landlord provides Tenant with three months notice prior to
such relocation. In the event such relocation should occur, the rental
rate and the lease term remaining shall be the same as that on the first
floor.
6. EXTERIOR BUILDING CONSTRUCTION
Tenant acknowledges that during the course of this lease Landlord may
begin significant construction on the exterior of the building. While
Landlord shall use its best efforts to minimize any disruption to Tenant's
premises, it is expected that such work shall be of inconvenience to Tenant
during that period. Tenant agrees and understands that this may be the
case and understands that short of Landlord's negligence, Tenant shall have
no right to rental offset or abatement during the term of this lease.
However in no event shall Landlord's construction work materially effect
Tenant's ability to conduct normal business operations within the Premises.
Except as set forth in this Amendment No. 1 all provisions of the
Lease and the remainder of each Section referenced above, shall remain
unchanged and in full force and effect.
DATED this ___ day of ______________, 1998.
TENANT: LANDLORD:
THE COBALT GROUP, INC. FIRST & LENORA, LLC.
A Washington Corporation a Washington limited liability company
By: By:
------------------------------- -------------------------------
Its: Its:
------------------------------ ------------------------------
STATE OF ________________ )
)ss
COUNTY OF ______________ )
On this _________ day of ____________, 1998, before me personally appeared
______________________, to me known to be the _______________________ of FIRST &
LENORA, LLC., a Washington limited liability company, which executed the within
and foregoing instrument, and acknowledged said instrument to be the free and
voluntary act and deed of said partnership, for the uses and purposes therein
mentioned, and on oath stated that he was authorized to execute said instrument
on behalf of said partnership.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed my official
seal the day and year first above written.
------------------------------------
Notary Public
Commission Expires:
----------------